1. Includes securities lent to dealers under the overnight and term securities lending facilities; refer to table 1A. 2. Face value of the securities. 3. Compensation that adjusts for the effect of inflation on the original face value of inflation-indexed securities.4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. Current face value of the securities, which is the remaining principal balance of the underlying mortgages. 5. Cash value of agreements.6. Includes credit extended through the Primary Dealer Credit Facility and credit extended to certain other broker-dealers.7. Excludes credit extended to consolidated LLCs.8. Refer to table 6 and the note on consolidation accompanying table 9.9. Refer to table 7 and the note on consolidation accompanying table 9.10. Refer to table 3 and the note on consolidation accompanying table 9.11. Refer to table 4 and the note on consolidation accompanying table 9.12. Refer to table 5 and the note on consolidation accompanying table 9.13. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank.14. Includes other assets denominated in foreign currencies, which are revalued daily at market exchange rates.15. Estimated.16. Cash value of agreements, which are collateralized by U.S. Treasury securities.17. Includes the liabilities of Commercial Paper Funding Facility LLC, the LLCs funded through the Money Market Investor Funding Facility, Maiden Lane LLC, Maiden Lane II LLC, and Maiden Lane III LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of these LLCs. Refer to table 3 through table 7 and the note on consolidation accompanying table 9.

Sources: Federal Reserve Banks and the U.S. Department of the Treasury.

1A. Memorandum Items Millions of dollars

Memorandum item

Averages of daily figures

Wednesday Feb 4, 2009

Week ended Feb 4, 2009

Change from week ended

Jan 28, 2009

Feb 6, 2008

Marketable securities held in custody for foreign

official and international accounts (1)

2,554,655

+ 6,385

+ 437,049

2,550,750

U.S. Treasury securities

1,734,598

- 2,401

+ 467,466

1,738,946

Federal agency securities (2)

820,058

+ 8,788

- 30,415

811,803

Securities lent to dealers

126,994

- 5,459

+ 115,012

127,433

Overnight facility (3)

6,364

- 995

- 5,618

6,803

Term facility (4)

120,630

- 4,464

+ 120,630

120,630

Note: Components may not sum to totals because of rounding.

1. Face value of the securities. Includes U.S. Treasury STRIPS, other zero-coupon bonds, and mortgage-backed securities at face value.2. Includes debt and mortgage-backed securities.3. Fully collateralized by U.S. Treasury securities.4. Fully collateralized by U.S. Treasury securities, federal agency securities, and other highly rated debt securities.

2. Maturity Distribution of Term Auction Credit, Other Loans, and Securities, February 4, 2009Millions of dollars

Remaining maturity

Within 15 days

16 days to 90 days

91 days to 1 year

Over 1 year to 5 years

Over 5 years to 10 years

Over 10 years

All

Term auction credit

107,647

305,236

---

---

---

---

412,883

Other loans (1)

91,275

18,807

303

38,644

---

---

149,030

U.S. Treasury securities (2)

Holdings

15,549

21,802

64,789

174,089

97,304

101,448

474,982

Weekly changes

- 2,063

+ 2,869

- 1,860

+ 1,002

- 34

- 62

- 147

Federal agency debt securities (3)

Holdings

350

2,288

1,044

20,011

6,222

0

29,915

Weekly changes

+ 200

- 350

0

+ 987

+ 713

0

+ 1,550

Mortgage-backed securities (4)

Holdings

0

0

0

0

0

7,377

7,377

Weekly changes

0

0

0

0

0

0

0

Commercial paper held by

Commercial Paper Funding

Facility LLC (5)

31,416

226,721

0

---

---

---

258,137

Money market instruments held by

LLCs funded through the Money

Market Investor Funding

Facility (6)

0

0

0

---

---

---

0

Repurchase agreements (7)

0

0

---

---

---

---

0

Central bank liquidity swaps (8)

151,058

236,390

0

0

0

0

387,448

Reverse repurchase agreements (7)

74,251

0

---

---

---

---

74,251

Note: Components may not sum to totals because of rounding.--- Not applicable.

1. Excludes the loans from the Federal Reserve Bank of New York (FRBNY) to Commercial Paper Funding Facility LLC, the LLCs funded through the Money Market Investor Funding Facility, Maiden Lane LLC, Maiden Lane II LLC, and Maiden Lane III LLC. The loans were eliminated when preparing the FRBNY's statement of condition consistent with consolidation under generally accepted accounting principles.2. Face value. For inflation-indexed securities, includes the original face value and compensation that adjusts for the effect of inflation on the original face value of such securities.3. Face value.4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. Current face value of the securities, which is the remaining principal balance of the underlying mortgages.5. Face value of commercial paper held by Commercial Paper Funding Facility LLC.6. Face value of money market instruments held by LLCs funded through the Money Market Investor Funding Facility.7. Cash value of agreements.8. Dollar value of foreign currency held under these arrangements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank.

1. Fair value. Fair value reflects an estimate of the price that would be received upon selling an asset if the transaction were to be conducted in an orderly market on the measurement date. Revalued quarterly. This table reflects valuations as of December 31, 2008. Any assets purchased after this valuation date are initially recorded at cost until their estimated fair value as of the purchase date becomes available.2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 9.3. Book value. The fair value of these obligations is included in other liabilities and capital in table 1 and in other liabilities and accrued dividends in table 8 and table 9.

Note: On June 26, 2008, the Federal Reserve Bank of New York (FRBNY) extended credit to Maiden Lane LLC under the authority of section 13(3) of the Federal Reserve Act. This limited liability company was formed to acquire certain assets of Bear Stearns and to manage those assets through time to maximize repayment of the credit extended and to minimize disruption to financial markets. Payments by Maiden Lane LLC from the proceeds of the net portfolio holdings will be made in the following order: operating expenses of the LLC, principal due to the FRBNY, interest due to the FRBNY, principal due to JPMorgan Chase & Co., and interest due to JPMorgan Chase & Co. Any remaining funds will be paid to the FRBNY.

Outstanding principal amount of loan extended by the Federal Reserve Bank of New York (2)

19,169

Accrued interest payable to the Federal Reserve Bank of New York (2)

54

Deferred payment and accrued interest payable to subsidiaries of American International

Group, Inc. (3)

1,006

1. Fair value. Fair value reflects an estimate of the price that would be received upon selling an asset if the transaction were to be conducted in an orderly market on the measurement date. Revalued quarterly. This table reflects valuations as of December 31, 2008. Any assets purchased after this valuation date are initially recorded at cost until their estimated fair value as of the purchase date becomes available.2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 9.3. Book value. The deferred payment represents the portion of the proceeds of the net portfolio holdings due to subsidiaries of American International Group, Inc. in accordance with the asset purchase agreement. The fair value of this payment and accrued interest payable are included in other liabilities and capital in table 1 and in other liabilities and accrued dividends in table 8 and table 9.

Note: On December 12, 2008, the Federal Reserve Bank of New York (FRBNY) began extending credit to Maiden Lane II LLC under the authority of section 13(3) of the Federal Reserve Act. This limited liability company was formed to purchase residential mortgage-backed securities from the U.S. securities lending reinvestment portfolio of subsidiaries of American International Group, Inc. (AIG subsidiaries). Payments by Maiden Lane II LLC from the proceeds of the net portfolio holdings will be made in the following order: operating expenses of Maiden Lane II LLC, principal due to the FRBNY, interest due to the FRBNY, and deferred payment and interest due to AIG subsidiaries. Any remaining funds will be shared by the FRBNY and AIG subsidiaries.

Outstanding principal amount of loan extended by the Federal Reserve Bank of New York (2)

24,339

Accrued interest payable to the Federal Reserve Bank of New York (2)

79

Outstanding principal amount and accrued interest on loan payable to American International

Group, Inc. (3)

5,039

1. Fair value. Fair value reflects an estimate of the price that would be received upon selling an asset if the transaction were to be conducted in an orderly market on the measurement date. Revalued quarterly. This table reflects valuations as of December 31, 2008. Any assets purchased after this valuation date are initially recorded at cost until their estimated fair value as of the purchase date becomes available.2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 9.3. Book value. The fair value of these obligations is included in other liabilities and capital in table 1 and in other liabilities and accrued dividends in table 8 and table 9.

Note: On November 25, 2008, the Federal Reserve Bank of New York (FRBNY) began extending credit to Maiden Lane III LLC under the authority of section 13(3) of the Federal Reserve Act. This limited liability company was formed to purchase multi-sector collateralized debt obligations (CDOs) on which the Financial Products group of American International Group, Inc. (AIG) has written credit default swap (CDS) contracts. In connection with the purchase of CDOs, the CDS counterparties will concurrently unwind the related CDS transactions. Payments by Maiden Lane III LLC from the proceeds of the net portfolio holdings will be made in the following order: operating expenses of Maiden Lane III LLC, principal due to the FRBNY, interest due to the FRBNY, principal due to AIG, and interest due to AIG. Any remaining funds will be shared by the FRBNY and AIG.

Outstanding principal amount of loan extended by the Federal Reserve Bank of New York (2)

256,751

Accrued interest payable to the Federal Reserve Bank of New York (2)

157

1. Book value, which includes amortized cost and related fees.2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 9.

Note: On October 27, 2008, the Federal Reserve Bank of New York began extending loans under the authority of section 13(3) of the Federal Reserve Act to Commercial Paper Funding Facility LLC. This LLC is a limited liability company formed to purchase three-month U.S. dollar-denominated commercial paper from eligible issuers and thereby foster liquidity in short-term funding markets and increase the availability of credit for businesses and households.

1. Book value, which includes amortized cost.2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 9.

Note: The Federal Reserve Board authorized the Federal Reserve Bank of New York to extend credit under the authority of section 13(3) of the Federal Reserve Act to a series of limited liability companies funded through the Money Market Investor Funding Facility (MMIFF). The MMIFF became operational on November 24, 2008. These limited liability companies were established to purchase short-term U.S. dollar-denominated certificates of deposit, bank notes, and outstanding asset-backed commercial paper from eligible issuers. Such purchases are designed to foster liquidity in short-term money markets.

8. Consolidated Statement of Condition of All Federal Reserve BanksMillions of dollars

Assets, liabilities, and capital

Eliminationsfromconsolidation

Change since

Wednesday Feb 4, 2009

Wednesday Jan 28, 2009

Wednesday Feb 6, 2008

Assets

Gold certificate account

11,037

0

0

Special drawing rights certificate account

2,200

0

0

Coin

1,915

+ 59

+ 527

Securities, repurchase agreements, term auction

credit, and other loans

1,074,186

- 7,106

+ 284,850

Securities held outright

512,274

+ 1,403

- 201,102

U.S. Treasury securities (1)

474,982

- 147

- 238,394

Bills (2)

18,423

0

- 181,937

Notes and bonds, nominal (2)

412,914

0

- 57,096

Notes and bonds, inflation-indexed (2)

39,378

0

+ 941

Inflation compensation (3)

4,268

- 147

- 302

Federal agency debt securities (2)

29,915

+ 1,550

+ 29,915

Mortgage-backed securities (4)

7,377

0

+ 7,377

Repurchase agreements (5)

0

0

- 15,500

Term auction credit

412,883

- 2,748

+ 352,883

Other loans

149,030

- 5,760

+ 148,571

Net portfolio holdings of Commercial Paper

Funding Facility LLC (6)

258,664

+ 10,573

+ 258,664

Net portfolio holdings of LLCs funded through

the Money Market Investor Funding Facility (7)

0

0

0

Net portfolio holdings of Maiden Lane LLC (8)

25,860

+ 88

+ 25,860

Net portfolio holdings of Maiden Lane II LLC (9)

18,968

+ 4

+ 18,968

Net portfolio holdings of

Maiden Lane III LLC (10)

27,510

+ 54

+ 27,510

Items in process of collection

(376)

899

- 369

- 918

Bank premises

2,180

- 3

+ 48

Central bank liquidity swaps (11)

387,448

- 78,224

+ 363,448

Other assets (12)

42,034

- 724

+ 390

Total assets

(376)

1,852,901

- 75,648

+ 979,347

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

8. Consolidated Statement of Condition of All Federal Reserve Banks (continued)Millions of dollars

Assets, liabilities, and capital

Eliminationsfromconsolidation

Change since

Wednesday Feb 4, 2009

Wednesday Jan 28, 2009

Wednesday Feb 6, 2008

Liabilities

Federal Reserve notes, net of F.R. Bank holdings

852,298

+ 3,503

+ 75,190

Reverse repurchase agreements (13)

74,251

+ 2,037

+ 37,698

Deposits

(0)

873,487

- 81,984

+ 858,793

Depository institutions

646,996

- 93,407

+ 637,540

U.S. Treasury, general account

47,708

+ 8,991

+ 42,867

U.S. Treasury, supplementary financing account

169,962

- 4,878

+ 169,962

Foreign official

104

- 4

+ 6

Other

(0)

8,717

+ 7,314

+ 8,417

Deferred availability cash items

(376)

3,370

+ 560

- 41

Other liabilities and accrued dividends (14)

8,534

- 16

+ 4,144

Total liabilities

(376)

1,811,940

- 75,900

+ 975,783

Capital accounts

Capital paid in

21,694

+ 123

+ 3,217

Surplus

19,206

+ 229

+ 749

Other capital accounts

62

- 99

- 402

Total capital

40,962

+ 252

+ 3,564

Note: Components may not sum to totals because of rounding.

1. Includes securities lent to dealers under the overnight and term securities lending facilities; refer to table 1A.2. Face value of the securities.3. Compensation that adjusts for the effect of inflation on the original face value of inflation-indexed securities.4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. Current face value of the securities, which is the remaining principal balance of the underlying mortgages. 5. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities.6. Refer to table 6 and the note on consolidation accompanying table 9.7. Refer to table 7 and the note on consolidation accompanying table 9.8. Refer to table 3 and the note on consolidation accompanying table 9.9. Refer to table 4 and the note on consolidation accompanying table 9.10. Refer to table 5 and the note on consolidation accompanying table 9.11. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank. 12. Includes other assets denominated in foreign currencies, which are revalued daily at market exchange rates. 13. Cash value of agreements, which are collateralized by U.S. Treasury securities.14. Includes the liabilities of Commercial Paper Funding Facility LLC, the LLCs funded through the Money Market Investor Funding Facility, Maiden Lane LLC, Maiden Lane II LLC, and Maiden Lane III LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of these LLCs. Refer to table 3 through table 7 and the note on consolidation accompanying table 9.

9. Statement of Condition of Each Federal Reserve Bank, February 4, 2009Millions of dollars

Assets, liabilities, and capital

Total

Boston

New York

Philadelphia

Cleveland

Richmond

Atlanta

Chicago

St. Louis

Minneapolis

Kansas City

Dallas

SanFrancisco

Assets

Gold certificate account

11,037

424

3,935

453

423

891

1,221

913

344

199

349

636

1,249

Special drawing rights certificate acct.

2,200

115

874

83

104

147

166

212

71

30

66

98

234

Coin

1,915

65

85

154

152

264

247

217

53

63

132

199

284

Securities, repurchase agreements, term

auction credit, and other loans

1,074,186

53,523

515,283

61,365

27,867

112,518

67,278

53,665

22,962

15,706

21,706

28,875

93,439

Securities held outright

512,274

21,487

182,264

22,367

19,425

46,452

50,970

45,213

17,702

9,671

18,810

21,250

56,663

U.S. Treasury securities (1)

474,982

19,923

168,996

20,738

18,011

43,071

47,260

41,922

16,414

8,967

17,440

19,703

52,538

Bills (2)

18,423

773

6,555

804

699

1,671

1,833

1,626

637

348

676

764

2,038

Notes and bonds (3)

456,559

19,150

162,441

19,934

17,313

41,400

45,427

40,296

15,777

8,619

16,764

18,939

50,500

Federal agency debt securities (2)

29,915

1,255

10,644

1,306

1,134

2,713

2,976

2,640

1,034

565

1,098

1,241

3,309

Mortgage-backed securities (4)

7,377

309

2,625

322

280

669

734

651

255

139

271

306

816

Repurchase agreements (5)

0

0

0

0

0

0

0

0

0

0

0

0

0

Term auction credit

412,883

14,805

208,557

38,805

8,406

65,321

15,946

6,319

4,830

5,697

2,870

6,533

34,794

Other loans

149,030

17,231

124,462

193

35

745

363

2,133

429

338

26

1,092

1,982

Net portfolio holdings of Commercial

Paper Funding Facility LLC (6)

258,664

0

258,664

0

0

0

0

0

0

0

0

0

0

Net portfolio holdings of LLCs funded

through the Money Market Investor

Funding Facility (7)

0

0

0

0

0

0

0

0

0

0

0

0

0

Net portfolio holdings of Maiden Lane

LLC (8)

25,860

0

25,860

0

0

0

0

0

0

0

0

0

0

Net portfolio holdings of Maiden

Lane II LLC (9)

18,968

0

18,968

0

0

0

0

0

0

0

0

0

0

Net portfolio holdings of Maiden

Lane III LLC (10)

27,510

0

27,510

0

0

0

0

0

0

0

0

0

0

Items in process of collection

1,275

66

0

258

142

44

259

81

15

78

47

123

163

Bank premises

2,180

123

209

65

147

229

224

206

131

112

273

249

212

Central bank liquidity swaps (11)

387,448

15,388

105,510

42,196

28,289

108,998

29,375

12,822

3,822

5,912

3,790

4,939

26,406

Other assets (12)

42,034

1,785

12,748

3,476

2,468

8,603

3,600

2,288

856

718

884

1,051

3,558

Interdistrict settlement account

0

- 15,693

- 6,569

- 53,590

+ 28,519

- 95,123

+ 37,535

+ 30,379

+ 7,546

- 3,665

+ 13,174

+ 15,368

+ 42,120

Total assets

1,853,278

55,796

963,077

54,459

88,111

136,571

139,906

100,783

35,799

19,152

40,420

51,538

167,665

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

9. Statement of Condition of Each Federal Reserve Bank, February 4, 2009 (continued)Millions of dollars

Assets, liabilities, and capital

Total

Boston

New York

Philadelphia

Cleveland

Richmond

Atlanta

Chicago

St. Louis

Minneapolis

KansasCity

Dallas

SanFrancisco

Liabilities

Federal Reserve notes outstanding

1,032,381

37,940

360,850

41,086

46,156

80,485

133,121

83,620

29,132

17,481

29,661

60,818

112,032

Less: Notes held by F.R. Banks

180,083

6,059

47,155

5,741

7,677

12,694

28,015

14,132

3,535

3,172

3,691

20,084

28,128

Federal Reserve notes, net

852,298

31,881

313,694

35,345

38,479

67,791

105,106

69,488

25,597

14,309

25,970

40,734

83,904

Reverse repurchase agreements (13)

74,251

3,114

26,418

3,242

2,816

6,733

7,388

6,553

2,566

1,402

2,726

3,080

8,213

Deposits

873,487

18,762

606,916

10,422

43,042

49,497

23,528

22,537

6,987

2,413

11,005

6,656

71,721

Depository institutions

646,996

18,752

380,586

10,418

43,039

49,374

23,525

22,535

6,981

2,413

11,004

6,652

71,718

U.S. Treasury, general account

47,708

0

47,708

0

0

0

0

0

0

0

0

0

0

U.S. Treasury, supplementary

financing account

169,962

0

169,962

0

0

0

0

0

0

0

0

0

0

Foreign official

104

2

75

4

3

11

3

1

0

1

0

1

3

Other

8,717

9

8,585

0

0

112

0

1

5

0

1

3

0

Deferred availability cash items

3,746

119

0

670

516

258

300

471

72

267

179

355

539

Other liabilities and accrued

dividends (14)

8,534

152

6,133

172

175

433

349

287

153

101

115

167

299

Total liabilities

1,812,316

54,029

953,161

49,850

85,028

124,712

136,670

99,337

35,374

18,492

39,997

50,991

164,675

Capital

Capital paid in

21,694

903

6,034

2,315

1,552

5,981

1,612

729

210

335

209

271

1,543

Surplus

19,206

844

3,883

2,295

1,531

5,878

1,612

704

210

324

208

271

1,447

Other capital

62

19

0

0

0

0

11

13

6

1

7

4

0

Total liabilities and capital

1,853,278

55,796

963,077

54,459

88,111

136,571

139,906

100,783

35,799

19,152

40,420

51,538

167,665

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

9. Statement of Condition of Each Federal Reserve Bank, February 4, 2009 (continued)

1. Includes securities lent to dealers under the overnight and term securities lending facilities; refer to table 1A.2. Face value of the securities.3. Includes the original face value of inflation-indexed securities and compensation that adjusts for the effect of inflation on the original face value of such securities.4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. Current face value of the securities, which is the remaining principal balance of the underlying mortgages. 5. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities.6. Refer to table 6 and the note on consolidation below.7. Refer to table 7 and the note on consolidation below.8. Refer to table 3 and the note on consolidation below.9. Refer to table 4 and the note on consolidation below.10. Refer to table 5 and the note on consolidation below.11. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank.12. Includes other assets denominated in foreign currencies, which are revalued daily at market exchange rates.13. Cash value of agreements, which are collateralized by U.S. Treasury securities.14. Includes the liabilities of Commercial Paper Funding Facility LLC, the LLCs funded through the Money Market Investor Funding Facility, Maiden Lane LLC, Maiden Lane II LLC, and Maiden Lane III LLCto entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of these LLCs. Refer to table 3 through table 7 and the note on consolidation below.

Note on consolidation:

The Federal Reserve Bank of New York (FRBNY) has extended loans to several limited liability companies under the authority of section 13(3) of the Federal Reserve Act. On June 26, 2008, a loan was extended to Maiden Lane LLC, which was formed to acquire certain assets of Bear Stearns. On October 27, 2008, the FRBNY began extending loans to Commercial Paper Funding Facility LLC, which was formed to purchase three-month U.S. dollar-denominated commercial paper from eligible issuers. On October 21, 2008, the Federal Reserve Board authorized the FRBNY to extend credit to a series of LLCs funded through the Money Market Investor Funding Facility. These LLCs, which became operational on November 24, 2008, were established to purchase short-term U.S. dollar-denominated certificates of deposit, bank notes, and commercial paper from eligible issuers. On November 25, 2008, a loan was extended to Maiden Lane III LLC, which was formed to purchase multi-sector collateralized debt obligations on which the Financial Products group of the American International Group, Inc. has written credit default swap contracts. On December 12, 2008, a loan was extended to Maiden Lane II LLC, which was formed to purchase residential mortgage-backed securities from the U.S. securities lending reinvestment portfolio of subsidiaries of American International Group, Inc.

The FRBNY is the sole beneficiary of Commercial Paper Funding Facility LLC and the primary beneficiary of the other LLCs cited above. Consistent with generally accepted accounting principles, the assets and liabilities of these LLCs have been consolidated with the assets and liabilities of the FRBNY in the preparation of the statements of condition shown on this release. As a consequence of the consolidation, the extensions of credit from the FRBNY to the LLCs are eliminated, the net assets of the LLCs appear as assets on the previous page (and in table 1 and table 8), and the liabilities of the LLCs to entities other than the FRBNY, including those with recourse only to the portfolio holdings of the LLCs, are included in other liabilities in this table (and table 1 and table 8).

1. Includes face value of U.S. Treasury, agency debt, and mortgage-backed securities held outright, compensation to adjust for the effect of inflation on the original face value of inflation-indexed securities, and cash value of repurchase agreements.